Signed by Governor Ted Strickland

Vote Smart's Synopsis:

Vote to concur with Senate amendments and pass a bill that postpones a scheduled decrease in income tax rates, modifies previous appropriations, and establishes alternative construction method demonstration projects.

Highlights:

-Postpones the following changes to Ohio income tax rates so that the new rates will take effect in 2011 rather than the previously scheduled date of 2009, and until 2011 the old rates shall remain in effect (Sec. 1):

-Existing rates:
-For income of $5,000 or less, a rate of 0.618 percent; -For income of more than $5,000 but no more than $10,000, a rate of $30.90 plus 1.236 percent of the amount in excess of $5,000; -For income of more than $10,000 but no more than $15,000, a rate of $92.70 plus 2.473 percent of the amount in excess of $10,000; -For income of more than $15,000 but no more than $20,000, a rate of $216.35 plus 3.091 percent of the amount in excess of $15,000; -For income of more than $20,000 but no more than $40,000, a rate of $370.90 plus 3.708 percent of the amount in excess of $20,000; -For income of more than $40,000 but no more than $80,000, a rate of $1,112.50 plus 4.327 percent of the amount in excess of $40,000; -For income of more than $80,000 but no more than $100,000, a rate of $2,843.30 plus 4.945 percent of the amount in excess of $80,000; -For income of more than $100,000 but no more than $200,000, a rate of $3,832.30 plus 5.741 percent of the amount in excess of $100,000; and -For income of more than $200,000, a rate of $9,573.30 plus 6.24 percent of the amount in excess of $200,000; and
-New rates:
-For income of $5,000 or less, a rate of 0.587 percent; -For income of more than $5,000 but no more than $10,000, a rate of $29.35 plus 1.174 percent of the amount in excess of $5,000; -For income of more than $10,000 but no more than $15,000, a rate of $88.05 plus 2.348 percent of the amount in excess of $10,000; -For income of more than $15,000 but no more than $20,000, a rate of $205.45 plus 2.935 percent of the amount in excess of $15,000; -For income of more than $20,000 but no more than $40,000, a rate of $352.20 plus 3.521 percent of the amount in excess of $20,000; -For income of more than $40,000 but no more than $80,000, a rate of $1,056.40 plus 4.109 percent of the amount in excess of $40,000; -For income of more than $80,000 but no more than $100,000, a rate of $2,700 plus 4.695 percent of the amount in excess of $80,000; -For income of more than $100,000 but no more than $200,000, a rate of $3,639 plus 5.451 percent of the amount in excess of $100,000; and -For income of more than $200,000, a rate of $9,090 plus 5.925 percent of the amount in excess of $200,000.

-Extends the 2008 tax credit of $93 for taxpayers other than estates or trusts with adjusted gross income of $10,000 or less, and postpones the change of that credit to $88 so that it shall take effect in 2011 rather than 2009 (Sec. 1). -Modifies fiscal 2009-2011 biennium appropriations as follows (Sec. 3):

-Increases appropriations by $7.35 million in fiscal year 2009-2010 and $7.35 million in fiscal year 2010- 2011 for the Department of Mental Health; -Increases General Revenue Fund appropriations by $285.24 million in fiscal year 2009-2010 and by $566.27 million in fiscal year 2010-2011 for Department of Education Foundation Funding; -Decreases Lottery Profits Education Fund Group appropriations by $285.24 million in fiscal year 2009- 2010 and by $566.27 million in fiscal year 2010-2011 for Department of Education Foundation Funding; and -Increases appropriations by $1 million in fiscal year 2009-2010 and $1 million in fiscal year 2010-2011 for the State Employment Relations Board.

-Requires the Chancellor of the Ohio Board of Regents to designate one construction project at each of 3 different state higher education institutions as a Construction Reform Demonstration Project that may use the following alternative methods of construction delivery (Sec. 8):

-The "construction manager at risk" method; -The "design build" method; -The "general contracting" method; or -The "design assist" method.

-Requires the Superintendent of Public Instruction to allow a school district to delay the required implementation of all-day kindergarten until fiscal year 2012 if the district provides a request with the following (Sec. 9):

-A resolution from the school district board of education requesting the delay and providing justification; and -The submission of a plan for the full implementation of all-day kindergarten in 2012.

Full Bill Text

Vote Smart's Synopsis:

Vote to pass a bill that postpones a scheduled decrease in income tax rates, modifies previous appropriations, and establishes alternative construction method demonstration projects.

Highlights:

-Postpones the following changes to Ohio income tax rates so that the new rates will take effect in 2011 rather than the previously scheduled date of 2009, and until 2011 the old rates shall remain in effect (Sec. 1):

-Existing rates:
-For income of $5,000 or less, a rate of 0.618 percent; -For income of more than $5,000 but no more than $10,000, a rate of $30.90 plus 1.236 percent of the amount in excess of $5,000; -For income of more than $10,000 but no more than $15,000, a rate of $92.70 plus 2.473 percent of the amount in excess of $10,000; -For income of more than $15,000 but no more than $20,000, a rate of $216.35 plus 3.091 percent of the amount in excess of $15,000; -For income of more than $20,000 but no more than $40,000, a rate of $370.90 plus 3.708 percent of the amount in excess of $20,000; -For income of more than $40,000 but no more than $80,000, a rate of $1,112.50 plus 4.327 percent of the amount in excess of $40,000; -For income of more than $80,000 but no more than $100,000, a rate of $2,843.30 plus 4.945 percent of the amount in excess of $80,000; -For income of more than $100,000 but no more than $200,000, a rate of $3,832.30 plus 5.741 percent of the amount in excess of $100,000; and -For income of more than $200,000, a rate of $9,573.30 plus 6.24 percent of the amount in excess of $200,000; and
-New rates:
-For income of $5,000 or less, a rate of 0.587 percent; -For income of more than $5,000 but no more than $10,000, a rate of $29.35 plus 1.174 percent of the amount in excess of $5,000; -For income of more than $10,000 but no more than $15,000, a rate of $88.05 plus 2.348 percent of the amount in excess of $10,000; -For income of more than $15,000 but no more than $20,000, a rate of $205.45 plus 2.935 percent of the amount in excess of $15,000; -For income of more than $20,000 but no more than $40,000, a rate of $352.20 plus 3.521 percent of the amount in excess of $20,000; -For income of more than $40,000 but no more than $80,000, a rate of $1,056.40 plus 4.109 percent of the amount in excess of $40,000; -For income of more than $80,000 but no more than $100,000, a rate of $2,700 plus 4.695 percent of the amount in excess of $80,000; -For income of more than $100,000 but no more than $200,000, a rate of $3,639 plus 5.451 percent of the amount in excess of $100,000; and -For income of more than $200,000, a rate of $9,090 plus 5.925 percent of the amount in excess of $200,000.

-Extends the 2008 tax credit of $93 for taxpayers other than estates or trusts with adjusted gross income of $10,000 or less, and postpones the change of that credit to $88 so that it shall take effect in 2011 rather than 2009 (Sec. 1). -Modifies fiscal 2009-2011 biennium appropriations as follows (Sec. 3):

-Increases appropriations by $7.35 million in fiscal year 2009-2010 and $7.35 million in fiscal year 2010- 2011 for the Department of Mental Health; -Increases General Revenue Fund appropriations by $285.24 million in fiscal year 2009-2010 and by $566.27 million in fiscal year 2010-2011 for Department of Education Foundation Funding; -Decreases Lottery Profits Education Fund Group appropriations by $285.24 million in fiscal year 2009- 2010 and by $566.27 million in fiscal year 2010-2011 for Department of Education Foundation Funding; and -Increases appropriations by $1 million in fiscal year 2009-2010 and $1 million in fiscal year 2010-2011 for the State Employment Relations Board.

-Requires the Chancellor of the Ohio Board of Regents to designate one construction project at each of 3 different state higher education institutions as a Construction Reform Demonstration Project that may use the following alternative methods of construction delivery (Sec. 8):

-The "construction manager at risk" method; -The "design build" method; -The "general contracting" method; or -The "design assist" method.

-Requires the Superintendent of Public Instruction to allow a school district to delay the required implementation of all-day kindergarten until fiscal year 2012 if the district provides a request with the following (Sec. 9):

-A resolution from the school district board of education requesting the delay and providing justification; and -The submission of a plan for the full implementation of all-day kindergarten in 2012.

Full Bill Text

Vote Smart's Synopsis:

Vote to concur with Senate amendments and pass a bill that postpones a scheduled decrease in income tax rates, modifies previous appropriations, and establishes alternative construction method demonstration projects.

Highlights:

-Extends the following 2008 income tax rates for Ohio adjusted gross income for individuals, modified taxable income for trusts, and taxable income for estates so that they shall also apply for 2009 and 2010 (Sec. 1):

-For income of $5,000 or less, 0.618 percent; -For income of more than $5,000 but no more than $10,000, $30.90 plus 1.236 percent of the amount over $5,000; -For income of more than $10,000 but no more than $15,000, $92.70 plus 2.473 percent of the amount over $10,000; -For income of more than $15,000 but no more than $20,000, $216.35 plus 3.091 percent of the amount over $15,000; -For income of more than $20,000 but no more than $40,000, $370.90 plus 3.708 percent of the amount over $20,000; -For income of more than $40,000 but no more than $80,000, $1,112.50 plus 4.327 percent of the amount over $40,000; -For income of more than $80,000 but no more than $100,000, $2,843.30 plus 4.945 percent of the amount over $80,000; -For income of more than $100,000 but no more than $200,000, $3,832.30 plus 5.741 percent of the amount over $100,000; and -For income of more than $200,000, $9,573.30 plus 6.24% of the amount over $200,000.

-Postpones the effective date of the following income tax rates for Ohio adjusted gross income for individuals, modified taxable income for trusts, and taxable income for estates so that they shall apply for 2011 and all years thereafter rather than 2009 and all years thereafter (Sec. 1):

-For income of $5,000 or less, 0.587 percent; -For income of more than $5,000 but no more than $10,000, $29.35 plus 1.174 percent of the amount over $5,000; -For income of more than $10,000 but no more than $15,000, $88.05 plus 2.348 percent of the amount over $10,000; -For income of more than $15,000 but no more than $20,000, $205.45 plus 2.935 percent of the amount over $15,000; -For income of more than $20,000 but no more than $40,000, $352.20 plus 3.521 percent of the amount over $20,000; -For income of more than $40,000 but no more than $80,000, $1,056.40 plus 4.109 percent of the amount over $40,000; -For income of more than $80,000 but no more than $100,000, $2,700.00 plus 4.695 percent of the amount over $80,000; -For income of more than $100,000 but no more than $200,000, $3,639.00 plus 5.451 percent of the amount over $100,000; and -For income of more than $200,000, $9,090.00 plus 5.925 percent of the amount over $200,000.

-Reduces by 5 percent the salaries of state representatives and state senators whose terms begin on or after January 1, 2011 (Sec. 1).

Full Bill Text